A transonic compressor stage has been designed for the Naval Postgraduate School Turbopropulsion Laboratory. The design relied heavily on CFD techniques while minimizing conventional empirical design methods. The low aspect ratio (1.2) rotor has been designed for a specific head ratio of .25 and a tip relative inlet Mach number of 1.3. Overall stage pressure ratio is 1.56. The rotor was designed using an Euler code augmented by a distributed body force model to account for viscous effects. This provided a relatively quick-running design tool, and was used for both rotor and stator calculations. The initial stator sections were sized using a compressible, cascade panel code. In addition to being used as a case study for teaching purposes, the compressor stage will be used as a research stage. Detailed measurements, including non-intrusive LDV, will be compared with the design computations, and with the results of other CFD codes, as a means of assessing and improving the computational codes as design tools.